Industrial Firms Owned by Tycoon Jim Ratcliffe Received Up to £70m in UK Government Support In the Last Four-Year Period

Before the recent £50m state rescue package for its Grangemouth facility, chemical companies under the ownership of billionaire Sir Jim Ratcliffe had already been granted as much as £70m in British government support during the previous four-year period.

Recent Disclosures and Financial Support

According to official data released this week, public funding to the Ineos group in the most recent year was between £16m and £38m. From August 2022 onwards, the conglomerate has received between £28m and £70m.

The government stepped in this week to grant Ineos with £50m to support its Grangemouth operations, concerned that otherwise the UK would lose its last remaining facility producing ethylene—a vital feedstock for plastics. Officials additionally supported a £75m loan guarantee, while Ineos committed to invest £30m of its private capital.

Plant Closure and Broader Context

This support arrives after Ineos shut down the adjacent oil refinery in September 2024, costing 400 jobs—a move described as a huge blow to the area and a challenge for the government.

Ratcliffe, who is worth $14.5bn, is understood to have requested government assistance in October. The request comes at a time when the expansive Ineos group, controlled by the 73-year-old, has faced considerable economic strain, partly due to soaring energy costs in the wake of Russia's 2022 invasion of Ukraine.

In a sign of increasing concern over its ability to manage debt, the credit rating agency downgraded Ineos's debt rating in September. Ratcliffe has also had to commit significant funds into his Ineos Grenadier automotive project and the turnaround of Manchester United, in which he holds a minority stake.

Form of Support and Company Statements

The majority of the earlier government support came in the form of tax breaks in exchange for “commitments to reduce energy use and carbon dioxide emissions.” The value of these relief schemes for Ineos's sites in Grangemouth and Hull are reported as ranges rather than exact amounts.

An Ineos representative said the aid did not constitute “favourable terms” for the company, but was “granted based on strict criteria, and open to any UK business that qualifies.”

Although Ratcliffe publicly welcomed the £50m support in an announcement, Ineos separately issued more critical comments. In these, the industrialist strongly criticised government policy, specifically carbon taxes paid by industrial users.

“The solution is not decarbonisation by deindustrialisation,” Ratcliffe wrote. “Lacking a robust manufacturing base, the economy will falter. High energy costs and punitive carbon charges are driving industry out of the UK at an alarming rate.”

Speaking elsewhere, Ratcliffe labelled carbon taxes as “the most idiotic tax in the world,” arguing they put UK plants at a disadvantage against international competitors. It is noted that most chemicals and plastics are not covered from the UK's initial carbon border adjustment mechanism.

Future Environmental Pledges

The Ineos spokesperson added: “Ineos has invested over £400m at Grangemouth in the last five years to maintain its status as one of the most efficient chemical plants in Europe and to safeguard skilled jobs. British industry has had a brutal year, yet everyone relies on this industry every day. If we don't produce these essential materials in the UK, they are brought in from overseas, often from more polluting operations abroad.”

Colin Pritchard, head of sustainability for the company's chemicals unit, said the Grangemouth money would be used to improve energy efficiency, cut carbon emissions, and boost overall performance.

He explained the site, which uses an ethylene cracker utilising North Sea gas and US-sourced liquefied petroleum gas, had been under “intense strain” from rocketing energy costs and the UK's carbon taxes.

Records show that Ineos has in the past obtained significant tax breaks from the EU, valued at hundreds of millions of euros—notably while Ratcliffe was a leading supporter of the campaign for the UK to exit the European Union.